United Airlines said Wednesday that it will reduce domestic flying by 4% in the third quarter due to weakened air travel demand.
The carrier also said it is continuing to reduce off-peak flying on low-demand days and expects to do so into the fourth quarter.
The news was part of an otherwise positive first-quarter earnings report. United said its operating profit was 4.8%, up from 0.8% in last year's Q1. United reported a 5.4% increase in operating revenue to $13.2 billion and net income of $387 million, reversing a $124 million net loss a year ago.
President Trump's trade war has sparked concerns that international travel might suffer. United, however, said that forward bookings over the last two weeks have remained stable, with international bookings up 5% year over year.
United said that revenue from premium cabins, business travel and its loyalty program were all up at least 7.4% in the first quarter. Domestic revenue was up 3.8% but on 8% more flying, reflecting a drop in domestic economy fares.
United offered two versions of full-year earnings guidance, saying it expects earnings per share of $11.50-$13.50 if the economy is stable and $7-$9 if there is a recession.